Government Initiatives Perched to Drive Growth of Indonesian Telecom Industry: Ken Research

• The telecom industry in Indonesia is expected to undergo reforms driven by government commitment to improve the reach of mobile and fixed-line operators within the country.
• Mobile data will continue to be the highest revenue generating segment within the telecom market of Indonesia, followed by fixed, fixed broadband, VoIP and pay-Tv.

Ken Research announced its latest publication on, “Indonesia: Government Initiatives and Operator Investment to Drive Fixed and Mobile Data Growth”, which provides a detailed overview of the Indonesian telecom industry. Furthermore, the publication also includes the regional overview of Indonesia’s telecom industry along with comparisons of mobile players’ reach in each region.

The various segments which are include in the analysis are mobile services, fixed services and Pay-TV. Moreover, the research delivers deep quantitative and qualitative insight into the Indonesian telecom market, analyzing key trends, evaluating near-term opportunities and assessing risk factors based on proprietary data from Pyramid Research’s databases.

Indonesian telecom industry is currently undergoing a major shift with an increasing number of consumers preferring mobile call/data service subscriptions along with fixed line ones. The operators have proactively capitalized on this new trend and penetrated into many of Indonesia’s urban and semi-urban regions in order to gain lager market share and brand loyalty. The factors which have created a conducive environment for both fixed and mobile players to spread include the growing target population, positive customer reaction and most importantly the government initiatives and commitment, according to the Research Analyst, Ken Research.

Although there are many regions in Indonesia which are yet to be penetrated by mobile players, the number of mobile data users is projected to witness an exponential growth. Driven by spread and development of technical expertise and m-commerce infrastructure telecom service revenue is expected to grow by 1.3% CAGR upto 2020. Out of the overall telecom service revenue, mobile revenue will account for almost 82.9% and will continue to expand further at a 5% CAGR. It is also projected that, by the end of this decade, the contribution of Internet access to fixed services revenue will increase from 39.4% in 2015 to 43.8%. While PK Telkom is the leading operator in both mobile and fixed-line segments, other players such as Indosat, XL Axiata, MXm and LinkNet are giving a tough competition.

The global telecom industry will continue its past record of growth, disruption and innovation. As mobile devices and related broadband services are increasingly becoming an essential aspect of the society today, they are also playing a crucial role in driving momentum in telecom industry. The telecom operators worldwide are now on a lookout for opportunities for increasing their revenue through core value propositions such as sale of network devices and better network connectivity, according to the Research Analyst, Ken Research.

Some of the projected trends for the global telecom industry include:

• Exponential increase in the overall internet traffic
• Rapid increase in the number of players in the telecom industry
• The advent of Internet of Things (IoT)

Key Topics Covered in the Report:

• Regional overview of the Indonesian telecom industry
• Indonesian telecom market and competitor overview
• PESTLE analysis of the Indonesian telecom industry
• Demand profile
• Competitive landscape of the Indonesian telecom industry
• Data profiling of major mobile operators in each region